CRITICISM OF TARIFFS

Taranaki Daily News, 14 August 1930, Page 13

CRITICISM OF TARIFFS

AMENDMENT BEFORE HOUSE ■ PROBLEMS. OF UNEMPLOYMENT. MOTION TO APPOINT COMMITTEE. By Teleffraph.—Press Association. Wellington, Last Night. Notice of his intention to introduce the Bay of Island Harbour Amendment Bill was given when the House of Representatives met to-day by Mr. 11. M. Rushworth. The Hon. S. G. Smith gave notice to move for the appointment of a committee consisting of Messrs. Eiidean, Hogan, Massey, Ransom, Semple, Sullivan ami himself to inquire into the conditions relating to unemployment and make recommendations for Leiter organisation and more- expeditious dealing with applications for relief. The following Bills were introduced and read a first time.-—The Defence temporary) Amendment Bill (the Hon. J. G. Cobbe), the Painters and Decorator s’ Health Protection Bill (Mr. W. J. Jordan) and the Wellington and Suburban Water Supply Amendment Bill (Mr. P. Fraser), On the motion of Mr. Smith the following Bills were read a second time pro forma and referred to the Labour Bills Committee. —The Apprentices Amendment Bill and the Scaffolding and Excavation Amendment Bill. The House then went into committee to deal with the Customs Amendment Bill.

Replying to Mr. A. Hamilton Mr. Forbes said it was not correct to contend that the Government was budgetting for a surplus. It had taken an optimistic view of the situation and had kept its estimated revenue as close to the expenditure as it had been safe to do. DUTY ON RUBBER SOLES. In reply to Mr. A. E. Ansell ,Mr. Forbes said he agreed that rubber soles actually did come into competition with New Zealand leather, but it would not be possible to give local tanneries protection by duty on such imports because it would no doubt rcsult in rubber being i -iported in sheets and stamped into° soles in New Zealand. Rubber sheets were already imported for various other purposes and it would not be proper to place a burden on other industries by imposing a duty on sheet rubber.

’ Replying to Mr. W. Nash Mr. Forbes said he thought the reduction in the duty on watches would be sufficient. He believed a handsome profit was made .on the sale of watches and it was not too much to expect the firms to yield a little -of this return to aid the finances of the country. He stated in replj r to Mr. Savage that the majority of confectionery manufacturers in the Dominion were satisfied with the degree of protection at present afforded their industry. He had heard of only one firm which desired further protection. Mr. W. J". Jordan: That firm believes it is faced with dumping. The Prime Minister said there was adequate provision in the Customs Act to deal with dumping. Replying to Mr. 11. G. R. Mason Mr. Forbes said he believed tho duty on wino was sufficient to enable New Zealand growers to hold their own.

PETROL TAX BURDEN. Mr. J. MeCoinbs stated that the tax on petrol amounted to more than the total rates levied in New Zealand, including hospial rates. He contended that the duty on beer should be increased. There should be no additional cost to the consumer because the breweries were at present making huge profits. It would be better to raise the revenue that way than by imposing the burden on industry that was created by the extent of the petrol tax. Mr. H. S. S. Kyle said he understood the breweries intended to pas? on the cost of the increased duty to the publicans, who would have to pay it unless they 1 passed it on to the consumer. Mr. H. T. Armstrong pointed out that almost every industry was to some exent dependent on petrol. The increase in the tax created an undue additional burden and it was also unfair to city and suburban motorists who seldom if ever used backblock roads. Air. H. M. Rushworth said the tax on petrol was all right so long as it went hand in hand with a proportionate derating of farm lands. It seemed, however, that the primary producer was goiim- to have his burdens increased. Mr .Forbes said the petrol tax was a special tax levied for special purposes. The backblocks had been neglected so long that it was time the roads received some attention. In reply to the point raised by Mr. McCombs the Prime Minister expressed the opinion that any further increase in beer duty would be passed on to the consumer. The working man would have to pay 80s under the Unemployment Bill and the Government did not desire to add too much to his burden. Mr. H. E. Holland said he would like to suggest to the Government that it should°abandon the petrol tax and undertake State control and distribution of petrol. He believed a majority of the House was united in favour of such a policy. > At the Invercargill by-elcc-tion the Reform candidate had made this a plank in his platform. Russian oilfields produced enormous quantities of petrol and could market it below the world parity. New Zealand, on the other hand, after it had supplied, all the meat Britain required still had to look further afield for a market, and he suggested 'an agreement could be negotiated with Russia for the supply of°petrol in return for meat. Mr. Holland said the price of petrol in the United States averaged 12 cents. The value of the spirit when it reached New Zealand was 7|d-a gallon and yet the wholesale price was Is 10d for first grade and Is 9d for second grade. He asked what was the reason for the wide margin between these figures. The short title of the Bill was passed at midnight. An amendment to the first schedule to permit of certain animal foods, including cattle cake, being imported free was moved by Mr. Coates and defeated by 5 votes to 24. (Left sitting at 2 a.m.) COUNCIL SITS TEN MINUTES. RECOVERY OF SIR. T. K. SIDEY. Wellington, Last Night. Sir Thomas Sidcy made his first ap-

pearance since his illness in tho Legislative Council to-day and was warmly welcomed by members. The Crimes Amendment Bill was read a first timo and the Council adjourned at 2.40 p.m. until 2.30 p.m. to-morrow.